EU to discuss government VC schemes

Ministers are expected to discuss plans to promote risk capital to small and emerging businesses and to support research and development.

European Commission officials will meet next month to discuss the introduction of venture capital funds in member states and clarify how state aid rules apply to government schemes designed to promote risk capital, according to The Financial Times.

The supply of risk capital to small and emerging businesses is believed to be one of the main causes of a gap in competitiveness between the EU and the US.

Another subject likely to be addressed is the need for government support for research and development in Europe.

The British government has allowed development agencies in the nine English regions to begin announcing provisional funding, subject to final approval from Brussels.